Avantium, Tereos, LVMH to expand PEF in Europe

: Chemicals, Petrochemicals
25/09/24

Renewable polymer producer Avantium, bioethanol supplier Tereos and luxury goods maker LVMH are considering a consortium to build and operate an industrial-scale polyethylene furanoate (PEF) plant in Europe.

The plant will be based upon Avantium's YXY technology and manufacture furandicarboxylic acid (FDCA) from plant-based feedstock and FDCA-based polymers such as PEF, which Avantium markets under the brand name Releaf. Tereos will provide the feedstock, and "demand will be driven" by LVMH. The latter is taking part through its scientific and environmental R&D division.

PEF can be used to manufacture packaging for foods, beverages and cosmetics, and fibres for clothing and industrial applications. Avantium is in the process of starting up its first FDCA plant in Delfzijl, the Netherlands, with a production capacity of 5,000 t/yr.

Demand for bio-based polymers is being driven by voluntary and carbon emissions-related commitments. The EU says it will clarify the position of bio-based content requirements within its Packaging and Packaging Waste Regulation (PPWR) by 12 February 2028, with a possibility that separate targets for bio-based content will be enacted, or that bio-based content will be allowed to count towards existing targets for recycled content for food packaging.

By Will Collins

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25/11/14

Unipar sees lower 3Q profit on sluggish petchem cycle

Sao Paulo, 14 November (Argus) — Brazilian company Unipar Carbocloro, South America's largest producer of polyvinyl chloride (PVC), reported a net profit of R107mn ($20.2mn) in the third quarter of 2025, 9pc below the same period last year. The results were primarily driven by a downturn in the petrochemical cycle and a persistent imbalance between global supply and demand. Unipar's average plant utilization rate remained at 80pc in Brazil and reached 67pc in Argentina, both impacted by temporary reductions in operations due to weak demand at certain times during the quarter. Chief executive Rodrigo Cannaval noted mounting pressure on Brazil's domestic PVC market from imports, particularly from Colombia and Egypt, alongside weak demand in Argentina amid President Javier Milei's macroeconomic reforms. International caustic soda and PVC prices decreased 11pc and 5pc, respectively, compared to the second quarter, curtailing Unipar's adjusted recurring earnings before interest, taxes, depreciation and amortization (EBITDA) of R266mn, which also suffered negative effects from currency appreciation in Brazil, even though the company's cash flow is mostly tied to the US dollar. Annually, adjusted recurring EBITDA increased 14pc, from R233mn, mostly due to higher volumes of caustic soda and chlorinated products, offsetting 15pc lower sales of PVC. PVC accounted for 40pc of the company's revenue in the quarter, followed by caustic soda (39pc) and chlorinated products (21pc). Additionally, Unipar's Capex should be significantly smaller next year, Cannaval said during the company's third-quarter earnings conference call, given that the modernization of the Cubatao plant is nearing completion. It is the company's most relevant ongoing project, he said, and affected both gross and net debt in the quarter. The Cubatao plant has production capacity of 355,000 metric tonnes (t)/yr of chlorine and 400,000 t/yr of caustic soda. Unipar introduced new PVC pricing after Brazil increased antidumping duties on US imports to 43.7pc from 8.2pc. But Cannaval said PVC demand in Brazil continues to lag amid elevated interest rates. The petrochemical firm posted net revenue of R1.2bn, 8pc below the same quarter the previous year. Unipar's net debt hit R1.5bn, 275pc above R459mn reported a year ago. By Isabela Mendes Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Italian recyclers stop collecting bales from sorters

25/11/14

Italian recyclers stop collecting bales from sorters

London, 14 November (Argus) — A number of Italian recyclers in the Assorimap industry association have stopped collecting plastic waste from sorting centres, pending "urgent measures" to save the country's recycling sector, which it said has suffered an 87pc reduction in operating profits since 2021. Assorimap said this week that the Italian recycling industry is suffering from high energy costs compared with other parts of Europe, and "unsustainable competition from non-EU imports of virgin and recycled plastic at rock-bottom prices". It said that its members would shut down recycling plants in response to the crisis. The association is seeking measures including bringing forward mandatory recycled content in plastic packaging to 2027 — from 2030, as laid out under the EU's Packaging and Packaging Waste Regulation (PPWR) — as well as recognition of carbon credits for secondary raw material suppliers and increased control on the traceability of imports. An Italian recycler told Argus today that it had stopped collecting bales from sorting centres, and that it expected that others had begun to do the same, although some pickups may continue, particularly where transport had already been arranged. A source from a sorting centre confirmed that several large customers that had bought PET and HDPE bales from their company through the Italian auction system for November were declining to collect them. They said that, unless the situation is resolved, they would soon fill up their capacity for bale stocks and be compelled to stop taking in mixed plastic waste at the facility. Plastic waste from the Italian separate collection system is sorted into individual fractions, which are then sold to recyclers via a monthly auction. The Italian government recently announced that it would delay the implementation of a €450/t ($523/t) tax on single-use plastics — which would include exemptions for recycled plastics — to 1 January 2027, from 1 July 2026. Implementation of the tax has now been delayed eight times since an initial decree in 2020. By Will Collins Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

EU conditionally clears Adnoc-Covestro deal under FSR

25/11/14

EU conditionally clears Adnoc-Covestro deal under FSR

London, 14 November (Argus) — The European Commission has given conditional approval to plans by Abu Dhabi's state-owned Adnoc to acquire German chemicals group Covestro under the EU's foreign subsidies regulation (FSR). Adnoc, to address the commission's competition concerns relating to state subsidies, offered to adapt its articles of association to make sure they align with UAE insolvency law, thereby removing unlimited guarantee from the state. It will also share Covestro's sustainability patents with certain market participants. "Clear, predefined access to these patents will enable others to innovate and advance research in an area that is critical for Europe's future," commission executive vice president Teresa Ribera said. The commission said these commitments "will balance out the negative effects" of the €12bn ($13.9bn) Adnoc-Covestro deal in the EU market. During an in-depth investigation, the commission found that "Adnoc and Covestro received foreign subsidies from the UAE that are liable to distort the EU internal market." These subsidies include an unlimited state guarantee to Adnoc, as well as a committed capital increase from Adnoc into Covestro. "As a result, the merged entity could have engaged in more aggressive investment strategies than absent the subsidies, to the detriment of other market participants and competitive conditions in the internal market," the commission said. The commission gave the green light to the acquisition in May, but decided to launch an in-depth probe in July under the FSR because of competition concerns relating to state subsidies. The FSR began in July 2023 and allows the commission to address distortion caused by foreign subsidies as a way of ensuring a laying playing field for all companies in the EU market. By Monicca Egoy Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

EU imposes provisional ADD on China adipic acid imports

25/11/14

EU imposes provisional ADD on China adipic acid imports

London, 14 November (Argus) — The European Commission has imposed provisional anti-dumping duties as high as 46.8pc on adipic acid imports from China. The decision followed an investigation launched in March after complaints from European producers Lanxess and Radici Chimica. The probe found the European industry "suffered material injury caused by the dumped imports" from China, the commission said. Chongqing Huafon Chemical and Tangshan Zhonghao Chemical face duties of 28.6pc and 46.8pc, respectively. "Other co-operating companies" — including China Pingmei Shenma Energy Chemical Group, Hengli Petrochemical (Dalian) and Shandong Hualu-Hengsheng Chemical — will pay duties of 32pc, the commission said. All other adipic acid imports from China will be charged at 46.8pc. Chinese producers "adopted an extremely aggressive pricing policy" that heavily undercut European prices and "eroded the ability of [domestic producers] to set prices that would cover its cost of production," the commission said. China-origin adipic acid imports into the EU rose by 33pc during the July 2023-June 2024 investigation period, the commission said. Their share of the domestic market climbed to 35.6pc from 19.4pc in 2021, while the European industry's share fell to 58.3pc from 77.2pc. Germany's BASF said in August it will end adipic acid production at its Ludwigshafen site this year. Adipic acid, which falls under CN code 29171200, is used in a wide range of applications, mainly the production of nylon 6,6, adhesives, sealants, plasticisers and polyurethanes. By Monicca Egoy Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

EU deforestation law may be delayed further: IPOC

25/11/14

EU deforestation law may be delayed further: IPOC

Singapore, 14 November (Argus) — The European Deforestation Regulation (EUDR) will likely face a second delay this year, said Anri Hadi, Indonesian ambassador to the EU at the 21st Indonesian palm oil conference (IPOC) on 13 November. A 12 November EU vote on whether to extend a six-month grace period for penalties and measures to be applied on medium to large firms — initiated last month — was inconclusive without a majority vote on the proposal, said Hadi. For medium and large enterprises, the EUDR will take effect on 30 December 2025, but a six-month grace period would apply on its enforcement, and for micro and small operators, the EUDR would apply from 30 December 2026 if this proposal were to be accepted. If member states do not agree to a grace period by 15 December, the EUDR would take effect on 30 December 2025 for large and medium companies and on 30 June 2026 for micro and small enterprises. Some member states instead voted to delay enforcement of the EUDR altogether by another year, to December 2026 for medium and large firms and June 2027 for small and micro firms. Under this proposal, there would be no grace period for enforcing the regulation after starting in 2026, Hadi said. Palm oil and some byproducts such as glycerol with 95pc or above purity are listed in Annex I of the EUDR, meaning exporters will have to submit traceability data to relevant government authorities under the EUDR to gain access to the EU market. Sustainability and enforcement guidelines still unclear Hadi called for sustainability standards such as the Indonesian sustainable palm oil (ISPO) certification to be recognised under the EUDR and for government-aligned guidance regarding geolocation data sharing requirements. But providing sustainability data to facilitate EUDR compliance is considered illegal under Indonesian law, said Indonesian vice minister of foreign affairs Arif Havas Oegroseno. Citing Forest Law Enforcement, Governance and Trade (FLEGT) licensing within the timber industry as an example, he said Indonesia could set up a similar licensing unit to provide relevant data to government authorities in the EU while retaining sustainability data domestically. Under proposed traceability requirements, smallholder farmers would be unable to comply with the regulations, Oegroseno added. Farmers subsequently selling product to larger mills would also impact the supply chain as these mills may export palm oil into Europe. By Malcolm Goh Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Avantium, Tereos, LVMH to expand PEF in Europe

Related news posts

Unipar sees lower 3Q profit on sluggish petchem cycle

Unipar sees lower 3Q profit on sluggish petchem cycle

Italian recyclers stop collecting bales from sorters

Italian recyclers stop collecting bales from sorters

EU conditionally clears Adnoc-Covestro deal under FSR

EU conditionally clears Adnoc-Covestro deal under FSR

EU imposes provisional ADD on China adipic acid imports

EU imposes provisional ADD on China adipic acid imports

EU deforestation law may be delayed further: IPOC

EU deforestation law may be delayed further: IPOC

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